10 AFTERMARKET APRIL 2023 BIG ISSUE www.aftermarketonline.net will freeze tuition fees for a standard full-time course in the 2023/24 and 2024/25 academic year in England at a maximum of £9,250. This move will help provide better value for students by reducing the initial amount of debt students will take on.” Misplaced understanding While university students are getting additional support, apprentices seem to have been excluded. Why are apprentices being treated less favourably than university students? According to IMI Policy Manager Hayley Pells, there is little logic in offering support to one group of learners, while excluding another group: “It’s great to see government recognising the financial hardships being faced by students. But we fear there is a serious misplaced understanding of the financial position of apprentices. Ignoring this group sends another message that they are the poor relations to full-time students and could deter young people from taking this route in the future. With the skills shortage already critical, this is the last thing any sector needs. Of course, apprentices are earning while learning. But the reality is that most apprentices are on either the minimum or living wage – and some may even face redundancy or reduced working hours when economic conditions put pressure on employers.” There is definitely an argument for supporting apprentices through the cost of living crisis as far as Hayley is concerned, particularly against the backdrop of the skills crisis: “Now more than ever we need to make workplace learning attractive and there is much the government could do to support employers of apprentices, especially the small and medium sized enterprises which make up such a large proportion of the automotive retail sector. For example, a skills tax credit could be introduced for SMEs, as proposed by the Learning and Work Institute. SMEs could also benefit from a well-publicised service and central portal of information to help them understand how to take on an apprentice. The Super Deduction which was planned to end on 31 March 2023 could be continued to prompt much needed investment in capital equipment required to support the transition to the technologies of a greener transport future. “ Parallel issues Even if apprentices received the same level of support as University students, the number of people coming into the sector as an apprentice is too low. This is exacerbating the existing staff shortage the sector, as Halfords CEO Graham Stapleton observed: “Like many businesses, one of the biggest challenges we face is recruitment. Put simply, we can’t get enough qualified technicians into our garages to meet demand. There are parallel issues in many other parts of the economy where large skills gaps are opening up. “There are many contributory factors, including the well-publicised issue of older people withdrawing from the workforce through the pandemic. We have initiated a Later Life Apprenticeship programme to attract returning retirees, and this is starting to bear fruit, though progress is slow. We are also focusing on attracting more women and young people from disadvantaged backgrounds into automotive apprenticeships.” Graham continued: “There are three practical steps that would help us – and other employers – fill the skills gap. First, the Apprenticeship Levy could be expanded to make it easier to use funds to train existing employees on new technologies. In our case that would mean being able to use the Levy to train colleagues on electric vehicles, advanced driver assisted systems and autonomous vehicles. Second, sectors like automotive have been very narrow in attracting new skills. We need to widen our horizons and reach all communities. Awareness programmes jointly sponsored by industry and government could play a big part in that. Third, under the current arrangements when a 16-year-old begins an apprenticeship their parents stand to lose some of their benefits. They can no longer claim Child Benefit, or the equivalent Universal Credit allowance. Other benefits may be affected including Housing Benefit and/or Council Tax reduction. The apprentice may be able to claim If apprentices were treated in the same way as young people in education or training it could have a transformative effect ”
RkJQdWJsaXNoZXIy MjQ0NzM=